The Prefab Sprout Company is a construction company which develops and constructs modular home enclosures in South Florida. Though being listed on the New York Stock Exchange (NYSE), it is still a family-run business with about 40% of the shares resting with the Warner family. This working paper provides a thorough analysis of Prefab’s internal structure and its external business relations from an auditor’s viewpoint. In particular, the potential business and audit risks that could possibly evolve from an audit engagement are central to this study.

Before coming to a decision whether or not accepting an audit engagement at Prefab Sprout Company, the auditor should obtain business-related background information and evaluate the risk factors associated with the potential client on which a well-grounded judgment can be made (Knechel et al., 2007).

In this respect, the auditor especially needs to become aware of the wide-ranging family ties between executives of Prefab and closely related business partners. With the president, the vice president and the treasurer being members of the Warner family, it is doubtful whether the objectivity and the reliability of Prefab’s internal control system can be guaranteed. Moreover, family members are financially involved in the Sun Atlantic Bank which provides Prefab with loans, as well as in JRW Realty, Prefab’s most important purchaser of modular home developments. Consequently, there is a risk that transactions between these more or less affiliated parties are not carried out at arm’s length (Knechel et al., 2007).

A further problem that should already be detected in the pre-engagement risk evaluation process is the composition of the audit committee. The Sarbanes-Oxley Act of 2002 and the accompanying SEC standards prescribe that publicly-traded companies in the United States establish an audit committee that consists of at least three members, with all of them being outsiders to the company (SEC, 2003). At Prefab however, the audit committee is composed of the vice-president, the treasurer and a local college professor. Thus, only one member can be regarded as not being directly associated with the company. This situation is a serious weakness in Prefab’s accounting and internal control system, thereby increasing the risk of fraudulent activities in regard of the financial statements.

A similar problem arises with the compensation committee, which comprises Prefab’s lawyer and an employee who is selected on a rotating basis. As there are no explicit conditions for compensation committee membership, Prefab does not infringe upon any law. However, it is commonly agreed that the compensation committee should be representative of the company’s shareholders. Even if the Warner family still has a 40% stake in Prefab, it is problematic that the top executive is part of the committee. Moreover, the lawyer and the employee can be expected to be biased in their decisions as both are financially dependent on the company. Neither of them would probably risk their financial stakes by for instance lowering top management’s salaries.

Auditors that are new to an engagement are obliged by law to get in touch with the predecessor auditor of the prospective client. This regulation facilitates the information gathering process of new auditors and can already give first indications about where problems could possibly emerge during the audit. Unfortunately, the predecessor auditor to be contacted in this case has been appointed to become the controller of Prefab. As this appointment imposes restrictions on the unconfined impartiality of the predecessor auditor, his assertions should be handled with care.

Whether an auditor should accept the engagement with Prefab Sprout Company depends on the one hand on factors under the control of the auditor, like expertise, staffing and being independent of the client. These factors will probably not cause any problems at Prefab as they can be...

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...﻿Company Law – An Introduction
Unit Code: DE5H 35
Outcome 1
Melissa Mackenna-500006315
Context
Within this report you will find:
1.1. Introduction
1.2. Terms of Reference
1.3. Sole Traders
1.4. Partnerships
1.5. Corporate Bodies
1.5.1. Private Limited Companies
1.5.2. Public Limited Companies
1.6. Conclusion
1.7. Recommendations
1.8. Appendix
1.1. Introduction
The aim of this report is to:
Describe the differences in legal personalities and responsibilities between different company types.
Formalities and documents required for registering as a company
Types of corporate bodies and their characteristics (public and private companies)
Advise the best course of action
1.2. Terms of reference
The purpose of this report is to advise Karl and Theo in which direction they should expand their business next. Karl and Theo are seeking advice on the different types of companies available and the legal responsibilities involved within the different entities.
As stands currently Theo and Karl are currently trading as partners in a sole tradership, both men like and trust one another and they’re skill sets complement each other. They wish to expand although they are unsure in which direction and what each direction means.
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...Funds for Buy Back Source of funds for Buy back subject to the provisions of sub-section (2), out of—
(a) its free reserves;
(b) the securities premium account; or
(c) the proceeds of the issue of any shares or other specified securities:
Remarks:- No buy-back of shares out of the proceeds of an earlier issue of the same kind of shares.
68 (2) Conditions for Buy back No company shall purchase its own shares or other specified securities under sub-section (1), unless—
(a) the buy-back is authorised by its articles;
(b) a special resolution has been passed at a general meeting of the company authorising the buy-back:
Clause (b) not apply to a case where—
(i) the buy-back is, ten per cent. or less of the total paid-up equity capital and free reserves of the company; and
(ii) such buy-back has been authorised by the Board by means of a resolution passed at its meeting;
(c) the buy-back is twenty-five per cent. or less of the aggregate of paid-up capital and free reserves of the company:
(d) the ratio of the aggregate of secured and unsecured debts owed by the company after buy-back is not more than twice the paid-up capital and its free reserves:
(e) all the shares or other specified securities for buy-back are fully paid-up;
(f) the buy-back of the shares listed on any recognised stock exchange shall be in accordance with the regulations made by the SEBI; and...

...laboratories with sophisticated equipment and standardized testing and reporting protocols. Greater and more collaborative use of demonstration installations can be used to test and verify the effectiveness of new processes, technologies, and materials and their readiness to be deployed throughout the construction industry. By allowing determinations to be made about whether innovative approaches are mature enough for general use, demonstration installations can help to mitigate innovation– related risks to owners, contractors, and subcontractors. 5. Effective performance measurement to drive efﬁciency and support innovation. Performance measures are enablers of innovation and of corrective actions throughout a project’s life cycle. They can help companies and organizations understand how processes or practices led to success or failure, improvements or inefﬁciencies, and how to use that knowledge to improve products, processes, and the outcomes of active projects. The nature of construction projects and the industry itself calls for lagging, current, and leading performance indicators at the industry, project, and task levels, respectively.
Construction workers typically are exposed to high levels of noise, dust and airborne particles, adverse weather conditions, and other factors that can cause fatigue and injuries and thereby reduce efﬁciency and productivity. New types of equipment can make an activity physically easier to perform, easier to control,...

...﻿
Faculty of Business and Management
BBUS2103
Company Law
January 2013
Companies Act 1965
Section 181: Member’s Remedy
Name: Mohd Afiq bin Sahar
NRIC No: 871226-43-5677
Matric No: 871226435677001
Pages
1. Introduction………………………………………………………………………….3
2. Example of oppressive, disregard of members’ interest and unfairly
prejudicial or unfairly discriminatory conduct………………………………………5
Diversion of corporate assets or opportunity………………………………...5
Diversion of profits.………………………………………………………….6
Directors failure to act in the interest of the company……………………….7
Shares issued for improper purposes………………………………………....7
No dividend or inadequate dividend given…………………………………...8
3. The Circumstances Consideration……………………………………………………9
Irregular financial transaction………………………………………………...9
Breach of agreements to repay the loan……………………………………...10
Inaccessibility to the accounts……………………………………………….11
Removal of petitioner as director……………………………………………11
Failure to declare and pay dividends………………………………………...13
4. Recommendation on Section 181 – Member’s Remedy…………………………….14
5. Conclusions………………………………………………………………………….16
6. List of cases………………………………………………………………………….17
7. References…………………………………………………………………………...18
Introduction
The law has developed various remedies where the majority act unfairly or oppressively in order to protect the interests of the company and its member.
The common...

...﻿Companies
What Does the Company Provide?
How many employees were hired out of how many applied?
What Fringe Benefits are offered?
What possibilities for advancements are there?
What Is the average salary?
What is the work environment/job satisfaction ranking?
Google Inc.
Google is a global company that develops technology including web browsers, smartphones, smart contact lenses and social media apps to help keep people connected.
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Benefits include medical and retirement as well as on-site facilities and healthy free food.
Google has an interest in advancing their employees careers. They give recognition and provide promotions to those who furthered their advancement in technology.
Associate Account Strategist, BA Program (US):$50,891
Software Engineer
:$136,268
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SAS
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...House start-up a small bakery that rent in
1.1 The Company
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1.2 The Products and Servies
FRANKROJEIAN Snack House offers the following food and beverages to customers
• Cakes
• Pastries
• Burgers
• Fries
• Spagetti/ Palabok/ Lasagna
• Hotdog
• Pies
• Halo Halo (special/ ordinary)
• Softdrinks (8 oz, 10 oz, 12 oz & Liter)
• Coffee
• Fruitshakes
• Batchoy (special/ ordinary)
1.3 Target Market
• Government Employees
• Private Sectors
• Students
• Hungry Drivers
• Travelers
• Friends and Relatives
1.4 Financial Consideration
FRANKROJEIAN expects to raise 500,000.00 pesos as capital, included materials, products and renovation of the shop. Th business will be rentin a spac cost 15,000.00 pesos per month.
1.5 Mission
Our main goal is to be one of the most successful snack house outlets in Koronadal City, starting with one retail outlet located at Sienna building Alunan Avenue.
FRANKROJEIAN snack house aims to provide affordable, delicious and best snaks in the city of koronadal to make sure every customer is satisfied in the services and products.
1.6 Key to success
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...LJB Company: Internal Controls
LJB Company: Internal Controls
Contents
Introduction 3
Internal Control Requirements 2
Strengths and Recommendations 2
Violations 3
Conclusion 4
Works Cited 4
Introduction
LJB Company has asked the accounting firm to evaluate their system of internal controls because of the plan to go public in the near future. The president wants to be aware of any new regulations required of hiscompany if they go public. The current system of internal controls was explained to the accounting firm. Under SOX Sarbanes-Oxley Act of 2002, all public traded U.S. corporations are required to maintain a sufficient system of internal controls. In order for this to be implemented all Corporate Executives and board of directors have to ensure that the controls are reliable and effective. With LJB Company incorporating the information from SOX act this will allow them reduce corporate fraud by making sure that all of the procedures for financial reporting is following in accordance to all guidelines.
Internal Control Requirements
In order for LJB Company to become a public trade, under the Sarbanes-Oxley Act of 2002 requires a registered U.S. publicly traded company to have an independent audit committee as a part of its Board of Directors. My accounting firm recommends that since LJB is a small sized company in terms of its...

...﻿ Business Ethics
Provisions in company act 2013 with respect to CSR and Corporate Governance
Provisions in company act 2013 with respect to CSR and Corporate Governance
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India has recently witnessed a series of...